We found a match
Your institution may have access to this item. Find your institution then sign in to continue.
- Title
Public justification and investment in failing projects: the moderating effect of optimistic outcome expectations.
- Authors
Mahlendorf, Matthias D.; Wallenburg, Carl Marcus
- Abstract
Public justification can have both desirable and undesirable effects. One dysfunctional consequence demonstrated via laboratory experiments is an increase in the escalation of commitment (i.e., public justification increases investment in failing projects). Based on survey data from 247 failed company projects, this study provides supporting evidence of the escalation-increasing effect of public justification. Thus, the results support the external validity of prior findings. In addition, this paper hypothesizes and confirms a negative moderating effect of optimistic outcome expectations on the relation between public justification and investments. Specifically, for low optimistic outcome expectations, public justification increases investments in failing projects. In contrast, in cases of highly optimistic outcome expectations, public justification does not further increase investments in failing projects.
- Subjects
SOCIAL psychology research; EXPECTATION (Psychology); OPTIMISM; JUSTIFICATION (Ethics); DECISION making in business; DECISION making &; psychology; INVESTMENTS; PROJECT management -- Failure
- Publication
Journal of Applied Social Psychology, 2013, Vol 43, Issue 11, p2271
- ISSN
0021-9029
- Publication type
Article
- DOI
10.1111/jasp.12177